Signed by Governor Mike Pence

Vote Smart's Synopsis:

Vote to adopt a conference report that establishes new standards for the Gasification Plant project.

Highlights:

• Requires a buyer entering into a contract for the purchase of substitute natural gas from coal gasification facilities to submit the following information to the Indiana Utility Regulatory Commission for approval (Sec. 5):
• A purchase contract that was originally submitted to the commission before  
• January 1, 2012 and is subsequently modified to amend the definition of retail end use customers in the contract;
• A purchase contact that was entered into after December 31, 2012; or
• A purchase contract, or any other agreement, entered into between the authority and the producer, which is modified at any time, regardless of when the contract was entered into.

• Authorizes the Indiana Utility Regulatory Commission to approve, reject, or require modification of a submitted purchase contract and to issue a final order not more than 180 business days after the date on which the purchase contract is submitted (Sec. 6).  

• Specifies that the Commission shall consider the following factors, and any other factors the commission considers necessary, before finding that a purchase contract is in the public interest (Sec. 6):
• Whether it will lessen the impact of price volatility in the natural gas market on retail    end use customers;
• Whether it adequately apportions financial risk between the substitute natural gas producer and retail end use customer; and
• Whether it allows retail end use customers to realize savings. 

• Requires a party wishing to appeal a final order issued by the Indiana Regulatory Commission to do so only through an expedited direct appeal to the Indiana Supreme Court (Sec. 6).

• Requires the Indiana Utility Regulatory Commission to report the results of the following studies in an electronic format to the General Assembly before November 30, 2013 (Sec. 7):
• A study of the natural gas market including natural gas prices on both the open and captive markets; and
• A study of the effect of the availability of substitute natural gas and shale gas on natural gas prices.

Full Bill Text